President Ali announces minimum wage, tax threshold adjustments

-says govt re-evaluating revenues, projects revenues

The government is currently re-evaluating the country’s revenues and projected revenues and, based on the outcomes of the evaluation, further adjustments to the daily minimum wage and the income tax threshold will be implemented.

President Dr. Mohamed Irfaan Ali made this announcement during a press conference on Saturday, at State House in Georgetown.

“So, this is something that I am presently reviewing with an aim at the border adjustment in a daily minimum. 

“Also reviewing the absorptive capacity at further advancing liquidity in your pocket…by an adjustment in the tax threshold,” he underscored.

President Ali stated that the administration is carefully scrutinizing the numbers and ensuring that any decisions made align with the sustainability of the economy, as that remains the utmost priority.

The minimum wage for the public sector is currently $75,000. In June 2022, the minimum wage for private sector employees rose from $44,200 to $60,000.

In the 2023 budget, Finance Minister Dr. Ashni Singh proposed raising the income tax threshold to $85,000. This placed an additional $303B into the hands of taxpayers.

The government has been actively addressing salary increase issues for various categories of public sector workers.

Last year, the government announced substantial salary increases, amounting to over $1 billion, benefiting 8,000 members of the disciplined services.

Furthermore, more than 5,000 healthcare workers received significant salary boosts, totaling $1.5 billion, with raises ranging from 36.4 percent to 74.7 percent.

These increments were implemented in addition to an eight percent across-the-board raise for all public servants, which was made retroactive to January 1, 2022.

The president has committed to addressing specific categories of public sector employees, with a particular focus on teachers, through a consultative process that not only considers salary adjustments but also housing and other needs.